7. 1) Telefónica spots a business opportunity (4-play products)
2) High take up of Fusión is interpreted as a success.
3) Rest of operators launch their own 4-play package.
– Using wholesale regulated services together with retail price control,
they can replicate 4-play products on DSL
– Replication using regulated services not possible for packages with
speeds above 30 Mbps
1) As a consequence:
– Telefónica increases the pace of FTTH deployment
– Operators have to look for alternative ways to imitate Telefónica.
Cable operators - Mobile virtual services bundled with DOCSIS 3.0 services
Jazztel - Deployment of own FTTH network (agreement with Telefónica)
Vodafone, Orange - Wait-and-see, pressure on regulator, own agreement
Entrepreneurial process of Fusión
Creation Phase Imitation Phase
8. Imitative process: Vodafone and Orange
=
Medium Speed (achievable
with xDSL)
High Speed
2-Play Fixed Broadband+ Fixed Voice 4-Play Fixed (Broadband + Voice) + Mobile (Broadband + Voice)
18 %
Prices 4-Play (Entry Offer) vs 2-Play
18 %
=
=
(*) Available only on-line
4-Play cheaper than 2-Play
(*)
(*)
4-Play cheaper than 2-Play
Data as of January 2014